Bernstein Flags Institutional Shift as JPMorgan Partners with Coinbase

JPMorgan-Coinbase Tie-Up Marks Strategic Shift in Wall Street’s Crypto Stance, Says Bernstein

JPMorgan and Coinbase have entered into a multi-year strategic partnership, marking a significant moment in the integration of traditional finance with digital asset infrastructure, according to a note from brokerage firm Bernstein.

Announced on Wednesday, the deal positions Coinbase not just as a crypto exchange, but as a key blockchain infrastructure partner for major U.S. banks. “Rather than competing, JPMorgan is now choosing to integrate with crypto platforms,” wrote analysts led by Gautam Chhugani.

The development signals a deeper institutional embrace of crypto markets—especially notable given JPMorgan CEO Jamie Dimon’s past skepticism of digital assets. Bernstein described the partnership as a “structural unlock” for crypto adoption, pointing to the removal of banking frictions that have historically slowed industry growth.

The partnership is expected to streamline access to crypto through features like direct bank-to-Coinbase transfers and USDC-linked reward products. Bernstein views these as early steps toward interoperability between the legacy financial system and crypto-native tools.

Looking ahead, stablecoins such as USDC could evolve into mainstream instruments for payments and savings, enabling banks to offer digital cash solutions as part of their core financial products.

Bernstein reiterated its “outperform” rating on Coinbase stock, maintaining a price target of $510. COIN shares were trading 2.7% higher at $381.50 at the time of writing.